Straight Talk: I can cancel, right?

The Canton Regional and Greater West Virginia Better Business Bureau (BBB) offers tips and advice for Stark County consumers to avoid fraudulent practices.

TODAY’S TOPIC

Contracts.

THE CONCERN

One thing the BBB constantly fields calls about is consumers’ misconception that they have a certain amount of time to cancel a contract. After all that’s the law? Right?

Well not necessarily. The BBB wants to inform consumers on their cancellation rights and squash any misconceptions.

TIPS AND ADVICE

The cooling off period.

The Federal Trade Commission’s cooling-off rule states that on a purchase of more than $25, your right to cancel a contract for a full refund extends until midnight on the third business day after the sale.

The cooling-off rule only applies to sales at the buyer’s home, workplace or dormitory, or at a temporary workplace of the seller (such as hotel or motel rooms, conventions centers, fairgrounds or restaurants).

Under the cooling-off rule, the sales person must tell you about your cancellation rights at the time of the sale. The salesperson must provide copies of the cancellation form (one to keep and one to send) and a copy of your contract or receipt. The contract or receipt should clearly show the date, name and address of seller and explain your right to cancel.

Also, the contract or receipt must be in the same language used during the sales presentation.

In Ohio, the three-day cooling-off period does not begin until the seller gives the buyer the “notice of cancellation” form. Until a form is received, a buyer may cancel the door-to-door sale by notifying the seller at any time, in any manner.

Buyers do not have to give a reason for canceling; it is their right to change their mind. Nevertheless, it is suggested a buyer send the cancellation notice in writing. The notice should be sent as a certified letter with return receipt requested.

Consumer don’t always have the right to cancel, and there are exceptions to the cooling-off rule. The rule does not apply to:

• Sales made at the sellers’ usual place of business;

• Sales for real estate, insurance or securities;

• Sales for emergency home repairs.

• Sales that begin in a retail location and finish with a contract signing in your home (such as ordering a carpet at a store and signing the contract when someone comes to your home to measure the floor);

• Sales made at the sellers’ usual place of business when a contract is signed to purchase a car, furniture, computer or stereo system etc.

• Sales of goods or services not intended for personal, family or household purposes (courses of instruction and training are covered by the cooling-off rule).

According to the Ohio Attorney General, a seller must offer cancellation rights when: